Chi Jingdong, vice president of China Iron and Steel Industry Association, said recently that China's steel industry has entered a new stage of high-quality development. From the geological prospecting, mining and mineral processing to iron-making, steel-making, steel rolling and deep processing, the steel industry has reached the world-class level in the entire industry chain, and the next step is to rely on innovations such as technology, quality, and service to achieve development.

Chi Jingdong made the above point at the summit forum of "High-quality development and steel power."

Chi Jingdong said that after more than two years of capacity reduction, China's steel production capacity utilization has basically recovered to a reasonable level, and the industry's business situation has improved significantly. In 2017, the average sales profit rate of member enterprises of the China Iron and Steel Association has recovered to 4.7%.

At the same time, the iron and steel industry structure has been continuously optimized, energy conservation and environmental protection have taken great strides, and technological innovation achievements have continued to emerge. In particular, it has formed the world's largest steel industry army and R&D team. The material basis plus technology and talent guarantees will lay the foundation for the steel industry to accelerate high-quality development.

However, a number of participants in the industry said that the current high-quality development of steel is also facing the four major challenges of preventing the expansion of new production capacity, preventing the re-emergence of “Grid Steel”, short-circuiting the steelmaking process, and strengthening environmental protection.

Xu Wenli, head of the iron and steel division of the Ministry of Industry and Information Technology, said that with the improvement of industry efficiency, new problems have also emerged, and some localities and companies have had the impulse to add new production capacity, and the resumption of the “Globe Steel” has repeatedly occurred.

National Bureau of Statistics data show that in April, China's average daily output of crude steel hit a record high.

“From the end of May to the end of June, the relevant departments of the National Development and Reform Commission and the Ministry of Industry and Information Technology will organize and carry out special inspections to prevent the overcapacity production from resumption of production capacity and the resumption of 'Double Article Steel' in order to consolidate the dangers of dismantling the project and expanding production capacity. The hard-won result of de-capacity." Xu Wenli said.